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Intellectual Property Licensing

Patent License Agreement (Exclusive)

Drafting exclusive patent license agreements manually requires hours of careful attention to complex financial terms, territorial restrictions, and enforcement provisions. IP attorneys must balance protecting the licensor's rights while ensuring the licensee has sufficient scope to commercialize, all while customizing standard clauses for royalty calculations, diligence requirements, and prosecution responsibilities.

Automation ROI

Time savings at a glance

Manual workflow5.5 hoursAverage time your team spends by hand
With CaseMark12 minutesDelivery time with CaseMark automation
EfficiencySave 27.5x time with CaseMark

The Problem

Drafting exclusive patent license agreements manually requires hours of careful attention to complex financial terms, territorial restrictions, and enforcement provisions. IP attorneys must balance protecting the licensor's rights while ensuring the licensee has sufficient scope to commercialize, all while customizing standard clauses for royalty calculations, diligence requirements, and prosecution responsibilities.

The CaseMark Solution

CaseMark automates the entire drafting process for exclusive patent license agreements, generating comprehensive documents with properly structured grant clauses, royalty terms, and enforcement provisions in minutes. Simply input your patent details, financial terms, and territorial scope, and receive a complete, attorney-ready agreement with all essential provisions tailored to your transaction.

Key benefits

How CaseMark automations transform your workflow

Generate complete exclusive patent license agreements in 12 minutes vs. 5+ hours manually

Ensure all critical provisions are included: grant scope, royalty structures, diligence obligations, and enforcement rights

Automatically format complex financial terms including upfront fees, running royalties, and minimum payments

Customize territory definitions, retained rights, and prosecution responsibilities with intelligent prompts

Reduce drafting errors in patent claims references and royalty calculation formulas

What you'll receive

Header and Parties
Grant of License
Licensed Patents Definition
Licensed Products Definition
Territory Specification
Licensor's Retained Rights
Upfront License Fee
Royalty Structure
Minimum Annual Royalties
Royalty Reports and Payment Terms
Diligence Obligations
Patent Prosecution and Maintenance
Infringement Enforcement Rights
Term and Duration
Termination Provisions
Signature Block

Document requirements

Required

  • Patent Information
  • Party Information

Optional

  • Prior License Agreements
  • Product Specifications
  • Financial Terms Sheet

Perfect for

IP Attorney
Patent Lawyer
Technology Transfer Officer
Corporate Counsel
IP Paralegal
Licensing Manager

Also useful for

This workflow is applicable across multiple practice areas and use cases

M&A transactions involving technology companies often require carve-out patent licenses or retained rights agreements when sellers keep certain IP assets or buyers grant back licenses to divested business units.

Patent licensing agreements are frequently needed in M&A deals to address IP allocation, technology transfer, and retained rights, making this workflow highly relevant for M&A practitioners handling tech-focused transactions.

VC and PE firms frequently negotiate exclusive patent licenses as part of technology investments, portfolio company IP strategies, and exit transactions involving patent portfolios.

Patent licensing is a critical component of technology investment deals, and VC/PE attorneys need to draft exclusive licenses when structuring IP-heavy transactions or managing portfolio company technology assets.

IP litigators draft exclusive patent licenses as settlement agreements to resolve patent infringement disputes and structure ongoing business relationships between formerly adverse parties.

Many patent litigation matters settle through licensing arrangements, and litigators need to quickly draft comprehensive exclusive licenses that resolve disputes while establishing clear ongoing rights and obligations.

Corporate Finance72% relevant

Patent licenses serve as collateral or revenue-generating assets in financing transactions, requiring corporate finance attorneys to draft exclusive licenses for IP monetization and secured lending arrangements.

Companies increasingly use patent portfolios as financial assets for raising capital, and exclusive licenses create revenue streams that support debt financing and IP-backed securities.

Frequently asked questions

Q

How does CaseMark handle complex royalty structures in patent licenses?

A

CaseMark guides you through defining upfront fees, running royalty percentages, minimum annual payments, and reporting schedules with structured prompts. The system automatically formats these financial terms into clear, enforceable contract language that aligns with industry standards for patent licensing.

Q

Can I specify different terms for different patents in the same agreement?

A

Yes, CaseMark allows you to define the licensed patents in Exhibit A format and customize the scope, territory, and financial terms accordingly. You can specify which patent claims cover which products and adjust the agreement structure to accommodate multiple patents or patent families.

Q

What's the difference between exclusive and non-exclusive patent licenses?

A

An exclusive patent license grants rights to only one licensee, preventing the licensor from granting the same rights to others or practicing the patent themselves (unless retained rights are specified). CaseMark's exclusive license template includes provisions for retained rights, ensuring licensors can preserve research or non-commercial use rights while granting commercial exclusivity.

Q

How does CaseMark address patent prosecution and maintenance responsibilities?

A

CaseMark includes customizable provisions for allocating responsibility and costs for patent prosecution, maintenance fees, and continuation applications. You can specify whether the licensor or licensee controls prosecution, how costs are shared, and what happens if one party chooses not to maintain certain patents.

Q

Does the agreement include provisions for handling patent infringement?

A

Yes, CaseMark automatically includes comprehensive infringement provisions specifying which party has the first right to enforce the patents, how litigation costs and recoveries are shared, and notification requirements. These clauses protect both parties' interests while ensuring effective enforcement against third-party infringers.

Q

How long does it take to draft a patent license agreement with CaseMark?

A

CaseMark generates a complete exclusive patent license agreement in approximately 12 minutes, compared to 5+ hours for manual drafting. You simply input your patent details, financial terms, and key provisions through guided prompts, and receive a comprehensive, attorney-ready document.

Q

Can I customize the diligence requirements for commercialization?

A

Absolutely. CaseMark allows you to define specific diligence obligations, including commercialization timelines, development milestones, and minimum sales requirements. You can tailor these provisions to ensure the licensee actively develops and markets the licensed technology while protecting the licensor's interests.